Golden Agriculture: Breaking out.

Yesterday, I mentioned Golden Agriculture's "next resistance is at 57c. This is where we find the declining 20dMA and the downtrend line." Today, it broke this resistance level in a most convincing manner as volume expanded significantly.  Price touched a high of 58.5c before closing at 58c.

58.5c is a many times tested resistance level and one wonders if this could be taken out as we eye 62c, the longer term resistance which I said could possibly be tested.

Technically, chances are good with both the MFI and RSI rising strongly. Being at around 50%, they are nowhere near overbought and they could go much higher.  The OBV shows accumulation.  The MACD seems ready for a bullish crossover.  Most importantly, volume is the fuel that drives rallies and this has been increasing nicely.  Let us see if this continues to be the case.

Related post:
Golden Agriculture: Moving higher?

China Hongxing: Immediate target in sight?

On 27 August, I mentioned that "China Hongxing's volume expanded today as it retested resistance at 17c. Unlike in early August, the technicals are now looking much stronger and China Hongxing's share price could break 17c this time round."  Today, China Hongxing closed at 18c on high volume.

The MACD has completed a bullish crossover in positive territory. The MFI is rising, forming higher lows, suggesting strong demand and it is nowhere near overbought yet. OBV shows no sign of distribution and accumulation is powering ahead. RSI is just peeking into overbought. Overall, the immediate target of 19.5c identified on 27 August seems attainable.

Related post:
China Hongxing: Retesting resistance.